Audit 291524

Title: Description Accounting Policies: The financial activity shown on the Schedule of Expenditures of Federal Awards reflects amounts recorded by the Town of Lexington during its fiscal year July 1, 2022, through June 30, 2023 and accordingly, does not include a full year’s financial activity for grants awarded or terminated on dates not coinciding with the Town’s fiscal year. The Town reports these on the accrual basis of accounting. De Minimis Rate Used: N Rate Explanation: The Town has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance. The Town of Lexington has adopted Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Those standards were adopted to fulfill the financial and compliance audit requirements of federal grantor agencies. For purposes of implementing Uniform Guidance, federal grant awards were made susceptible to audit and are included in the Schedule of Expenditures of Federal Awards.